[an error occurred while processing this directive] Microeconomics for Global Business Decision Making
New York University, Stern School of Business

Microeconomics for Global Business Decision Making

B09.2303.00
Fall 1995
Prof. Nicholas Economides
Office Hours: Fr. 10-12, Sat. 10-12,
and by appoint., MEC 7-89
998-0862, Fax 995-4218
neconomi@stern.nyu.edu
http://edgar.stern.nyu.edu/networks

Texts

R. S. Pindyck and D. L. Rubinfeld, Microeconomics, Third Edition, (Prentice Hall, 1994), PR. There is an accompanying Study Guide by V. Suslow and J. Hamilton with additional exercises and review materials.

My notes (distributed at the first class) provide you with an detailed outline of most of the material and are complementary to the main text. You will also be receiving occasional supplementary notes and solved exercises.

Articles from the Wall Street Journal, the Financial Times, the NY Times, and the Economist will illustrate the application of our course to current events.

Coursework

There will be weekly homeworks. They will be handed in and graded. Homeworks will count for 10% of the total grade. Outlines of solutions will be distributed. Your tutor, Leora Klapper, will be available to help you with the exercise s. You will have a chance to discuss the weekly exercises with him and get prepared to solve them. Your tutor will hold a weekly review session at a time to be determined. She will also hold other tutoring hours (to be announced). The midterm and the final exams will consist mainly of exercises of the same sort as the ones in the homeworks.

Outline and Reading Assignments.

You are expected to read the assigned chapters before the lecture.

1. The Basics of Supply and Demand. Chapter 2, pp. 17-28. Consumer Behavior. Choices of the Individual. Chapter 3.

2. Individual and Market Demand. Chapter 4 and chapter 2, pp. 28-52.

3. Choice under Uncertainty. Chapter 5.

4. Technology of Production. Chapter 6. Production Costs. Chapter 7.

5. Profit Maximization. Competitive Market Supply. Chapter 8.

6. Supply and Demand in Competitive Markets. Chapter 9.

7. Monopoly. Chapter 10, pp. 319-345. Price Discrimination. Chapter 11. Midterm Exam.

8. Game Theory. Strategic Choice. Chapter 13. Oligopoly. Chapter 12, pp. 420-449. Monopolistic competition. Chapter 12, pp. 413-419.

9. Pricing of Factors of Production. Labor Supply. Monopsony. Chapter 14, Chapter 10, pp. 345-353. Pricing of Capital. Evaluation of Projects. Chapter 15.

10. Economic Efficiency. Chapter 16.

11. Failures of Competitive Markets. Asymmetric Information. Chapter 17. Externalities. Public Goods. Chapter 18.